BEIJING, June 2 China's Sinopec and German
chemicals giant BASF on Thursday said they would
nearly double production of food preservative propionic acid at
a site in east China's Nanjing.
The companies expect to boost output of propionic acid by
30,000 tonnes to 69,000 tonnes from the first quarter of 2019
through their 50-50 joint venture, BASF-YPC Company Limited.
"The investment is to meet the increasing demand for
stringent food safety in China," Mr Li Cheng Feng, Chairman of
BASF-YPC, said in the statement.
China has been rocked in recent years by a series of food
safety scandals such as the use of recycled "gutter oil" in
restaurants and crops contaminated with heavy metals.
State-owned Sinopec, whose full name is China Petroleum and
Chemical Corp, and BASF founded BASF-YPC in 2000. It produces 3
million tonnes of chemicals and polymers for the Chinese market
annually, according to the statement from the two companies.
(Reporting by Hallie Gu and Josephine Mason; Editing by Joseph